Austria Uses AI to Generate Additional Tax Revenue

The Austrian Ministry of Finance generated approximately EUR 185 million in tax revenue in 2023 using artificial intelligence (AI).
The Predictive Analytics Competence Centre (PACC), a special unit within the Ministry, utilizes predictive analytics and AI to detect tax evasion and identify non-compliant individuals and businesses.
In 2023, the PACC analyzed around 6.5 million cases from various tax administration sectors, leading to the discovery of false information and fraud attempts related to income tax, corporation tax, and value-added tax (VAT).
As a result, the investigators realized approximately EUR 185 million in tax income, and around 27.5 million cases were investigated for compliance violations, including improper subsidies and benefits as well as bogus companies.
The PACC plans to expand its analytical capabilities, including the use of machine learning methods such as generative AI, to enhance the efficiency and effectiveness of tax administration in Austria.